Mansoor Ahmed Soomro

Corporate Social Initiatives: Six Options for Doing Good

Provides funds, in-kind contributions, or

other organization resources to

increase awareness and concern

about a social cause OR to support

fundraising, participation, or volunteer

recruitment

  Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Cause Promotions

The corporation may initiate and manage the promotion on its own

• The Body Shop promoting a ban on the use of animals to test cosmetics);

• It may be a major partner in an effort or it may be one of several sponsors (Keep America Beautiful 2003 sponsors for the "Great American Cleanup" included Lysol, PepsiCo, and Firestone Tire & Service Centers, among others). 

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Cause Promotions

Commits to making a contribution or

donating a percentage of revenues to

a specific cause based on product

sales e.g. donate 10% of the price of

each product sold

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Cause Related Marketing

• Announced for a period of time, for a specific product, and for a specified charity.

• In this scenario, a corporation is most often partnered with a nonprofit organization, creating a mutually beneficial relationship designed to increase sales of a particular product and to generate financial support for the charity

• For example, Comcast donates $4.95 of installation fees for its high-speed Internet service to Ronald McDonald House Charities through the end of a given month.

• Many think of this as a win-win-win, as it provides consumers an opportunity to contribute for free to their favorite charities as well.

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Cause Related Marketing

Supports the development and/or

implementation of a behavior change

campaign e.g. anti smoking campaign

 

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Social Marketing

• A corporation may develop and implement a behavior change campaign on its own

• Philip Morris encouraging parents to talk with their kids about tobacco use), but more often it involves partners in public sector agencies (Home Depot and a utility promoting water conservation tips) and/or nonprofit organizations (Pampers and the SIDS Foundation encouraging caretakers to put infants on their backs to sleep).

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Social Marketing

Makes a direct contribution to a

charity or cause, most often in the

form of cash grant, donations, and/or

in-kind service

 

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Corporate Philanthropy

• The most traditional of all corporate social initiatives and for many decades was approached in a responsive, even ad hoc manner.

• More corporations are now experiencing pressures, both internally and externally, to move to a more strategic approach, choosing a focus and tying philanthropic activities to the company's business goals and objectives.

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Corporate Philanthropy

Supports and encourages employees,

retail partners, and/or franchise

members to volunteer their time to

support local community organization

and causes

 

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Community Volunteering

• This activity may be a stand-alone effort (i.e., employees of a high tech company tutoring youth in middle schools on computer skills) or it may be done in partnership with a nonprofit organization (Shell employees working with The Ocean Conservancy on a beach cleanup).

• Volunteer activities may be organized by the corporation, or employees may choose their own activities and receive support from the company through such means as paid time off and volunteer database matching programs.

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Community Volunteering

Adopts and conducts discretionary

business practices and investments

that support social causes to improve

community wellbeing and protect the

environment e.g. community trade,

environmental friendly process Socially

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

Socially Responsible Business Practices

http://t1.gstatic.com/images?q=tbn:ANd9GcTL4QXrUVdQdllI-5_lumMiEKDZXG1VU3ruxlXNYHBnHOQJchoE

Socially Responsible Business Practices

Philip Kotler and Nancy Lee, “Corporate Social Responsibility,” Wiley, 2007

CausePromotions

Cause-RelatedMarketing

SocialMarketing

CorporatePhilanthropy

CommunityVolunteering

SociallyResponsibleBusinessPractices

Description

Supportingsocialcausesthroughpromotionsto increaseawareness,fundraising,volunteers

Donating a percentageof revenuesto a specificcause based on productsales

Supportingbehaviorchangecampaigns

Makingdirectcontributionsto a charityor cause

Providingvolunteerservices inthe community

Adaptingandconductingdiscretionarybusinesspractices andInvestmentsthat supportsocial causes

Example McDonald'ssponsoredthe OlympicYouth Campprogramheld in 2000 inSydney,Australia

McDonald'searmarked$1 for children'scauses from the sale of BigMacs andother items onWorldChildren'sDay,November20, 2002

McDonald'spromotestimelychildhoodimmunizations

RonaldMcDonaldHouseoffersplaces tostay forfamilieswithseriously illchildren

McDonald'sprovidedmeals forprofessionalsandvolunteersatSeptember11 disastersites

McDonald'schanged toRecycled contentpackagingandreducedpackagingmaterials

Examples of Corporate Social Initiatives for McDonald‘s

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